BoE preview: central bank to leave rates unchanged - Wells Fargo

According to analysts from Wells Fargo, the Bank of England (BoE) is likely to announced on Thursday that it keep its interest rates unchanged. 

Key Quotes: 

“Since lowering its main policy rate to 0.25 percent on August 4 and increasing the size of its quantitative easing program, the Monetary Policy Committee (MPC) of the Bank of England (BoE) has held rates unchanged. Economic growth in the United Kingdom has held up quite well since the Brexit referendum vote, increasing 0.6 percent in Q4-2016. Moreover, the British labor market has tightened somewhat in recent months, wages have shown some signs of acceleration and inflation has edged higher toward the target range.”

“With improving economic conditions, the BoE has revised up its forecasted growth rate to 2.0 percent from 1.4 percent for 2017. That said, with the uncertainty still surrounding the Brexit negotiations, we believe that the MPC will refrain from raising rates at its meeting next week, leaving it unchanged at 0.25 percent.”